DAY 1 Edition - IFA International 2017

EXCLUSIVE INTERVIEW THE

EXCLUSIVE INTERVIEW THE OPPORTUNITY TO BRING THE V30 TO BERLIN IN FRONT OF AN INTERNATIONAL AUDIENCE IS A KEY IN THE SUCCESSFUL LAUNCH OF THIS IMPORTANT PRODUCT. Juno Cho President, LG Electronics’ Mobile Communications Company Since its launch in the US and Asia, the LG V series has developed quite a strong fan base and the LG V30 – which is being launched at IFA – certainly won’t disappoint the fans. Juno Cho, President of LG Electronics’ Mobile Communications Company tells us about the new launch… I think it’s a groundbreaking smartphone that takes the mobile multimedia experience to a whole new level. The V30 will provide users with professional-level video and audio experience, but, easier than ever before. the clarity and production quality of a professionallevel movie; This is the first smartphone from LG to offer both OLED and 18:9 FullVision technologies together in the same display for unprecedented quality in both videos and images; and The included Hi-Fi Quad which wasn’t announced until after IFA. Having developed a significant following in North America and Asia where consumers have historically preferred larger displays, the V30 was designed with European users in mind. The V30 has a slimmer and more ergonomic design compared way to succeed in today’s smartphone industry is to innovate and design better than the competition. It shouldn’t be innovation for the sake of innovation but innovation that people want and desire. Chinese manufacturers are becoming very customer service offered by leading non-Chinese smartphone brands and we plan to expand upon that advantage in markets where we can do better. How important is IFA for you in terms of having a global stage for your products? LG Launches Flagship Smartphone at IFA What makes it different? What would you say are its three “USPs”? The V30 makes creating and consuming mobile visual content easier and more intuitive offering users a holistic and seamless experience with professional-level quality. I would list these three features as its strongest USPs: The F1.6 Crystal Clear Lens in the V30 features the largest aperture and clearest lens among existing smartphone cameras and its Cine Video mode allows users to create cinematic video content with DAC is the most advanced digital audio technology currently available in a mobile device designed to deliver superior sound with the help of options such as Sound Preset and Digital Filter that users can set based on their preference and type of music. Why did you decide to launch this device at IFA rather than at another event? It was important for us to bring the V30 to IFA because of the strong response we saw last year with the LG V20 to the V10 and V20 while still offering a larger, more immersive display. What is LG’s roadmap when it comes to smartphones? What are your ambitions in the market over the next couple of years, and how do you aim to achieve your targets? The V30 gives a very clear hint at where we want to take the LG brand in the smartphone space. It’s no longer enough just to offer the newest components and the highest specs. The only aggressive in the market. What are your thoughts on this? One can never underestimate Chinese competitors, especially in fast moving, price sensitive industries such as consumer electronics. Their huge domestic market is able to fuel their overseas expansion and that’s something no non-Chinese company can do anything about as long as Chinese consumers prefer local brands. However, there still remains a gap between Chinese phones and the reputation, quality and IFA is one of the few opportunities we have to really reach a global audience. And because this is the first time we’re announcing a new flagship phone at IFA, it’s extremely important that we do this well. IFA is the largest industry show for us in the second half of the year and the opportunity to bring the V30 to Berlin in front of an international audience is a key in the successful launch of this important product. Having IFA and Messe Berlin in our corner is certainly reassuring 38

NOMADIC LIFESTYLE The World In Your Pocket “Nomadic” products become the centre of the electronics ecosystem +24% Increase in smartphone sales value in Central and Eastern Europe Source: GfK 4% The percentage of consumers having purchased a VR product in Germany Source: gfu e50.62bn Cumulative revenues from global wireless headphone sales 2015- 2020 Source: Research & Markets Global smartphone demand peaked alongside a leap in average sales price in 2Q17, demonstrating the essential nature of the smartphone today not only as a “human communication” device, but increasingly as the key element of a “smart ecosystem”. Global smartphone demand totalled 347 million units in 2017, according to research organisation GfK, up 4% year-on-year. This makes it the strongest second quarter on record. Emerging Asia led the demand growth with a 13% year-onyear increase, followed by Central and Eastern Europe at 11%, and Latin America at 10%. Market value grew 9% year-on-year, due to rising average sales price (ASP). Arndt Polifke, global director of telecom research at GfK, comments, “The record demand for smartphones in the second quarter this year shows that, despite saturation in some markets, the desire to own a smartphone is a worldwide phenomenon. How that manifests itself differs widely by region. Manufacturers are maximizing all their creativity to ensure their latest devices are irresistible – and to increase ASP as a result. Elsewhere, macroeconomic factors and consumer confidence are having an impact, but operators and retailers are employing localized tactics to ensure the smartphone remains the connected device of choice.” Preliminary data from IHS Markit meanwhile shows that leaders of the pack, Samsung, Apple, Huawei, Oppo and vivo all grew, while Xiaomi reversed its recent performance and just missed out on a top-five spot. The market continues to be driven by Chinese OEMs, which have optimised their operations in their home market. OEMs operating on the global stage, such as Apple or Samsung, saw modest growth as established markets for these companies continue to mature. Samsung shipped 79.4 million smartphones in the quarter, up 3% from the previous year’s result of 77.4 million units. The launch of the Galaxy S8 / S8 Plus helped deliver 11% year-over-year revenue growth to e21.62bn. However, market share of Samsung declined to 23% in the quarter, down from 24% in the year earlier. Samsung has been struggling in China market as the strong top-three OEMs (Huawei, Oppo and vivo) are dominating the market. LISTEN TO THE MUSIC Portable audio – especially in the form of headsets and Bluetooth speakers – remains a sweet spot for many, with innovation continuing to drive the market. It’s estimated by various analysts that the market for headphones will grow at a CAGR of over 7% in terms of revenue and over 5% in volume in the coming years. The headphone market continues to develop rapidly, with changing form factor, use case, and technologies. Overall, the move from wired to wireless headphones has been the dominant trend but this is now moving onto the use of sensors to drive differentiation and new use cases. TRANSFORMING VIRTUAL REALITY INTO REAL SALES Virtual Reality has real potential… but is still very much in its infancy, with German industry organisation gfu reporting only 4% of consumers recently surveyed having purchased a VR product. 15% of those surveyed were, however, interested in purchasing a product, and while 63% said they were not interested, it must be underlined that many cuttingedge technologies only break into a market once the consumer really understands their usefulness. Such was the case just a few years ago with the smartphone, which, before the arrival of the iPhone, didn’t stir the interest of the greater part of the world’s consumers www.ifa-international.org IFAInternational • Friday 1 st September 2017 39